When people tell you to save your money, they are costing you money. That’s because while you are getting a small percentage on savings/bonds/stocks, you are paying a higher percentage on your credit cards. Target the credit cards with the highest interest rates first. If you can afford it, pay more than the minimum payment each month, too. Credit card companies love users who only pay the minimum, as it prolongs the debt and increases the interest they can get from you. Knock those out of the way as fast as you can. Sometimes, it can be 10 times or more of the percentage you are getting on your savings. I know this sounds like common sense, but few people actually do this. That being said, you do want to have some credit cards to build credit and have some savings in case you need cash for emergencies.

A good rule of thumb for the minimum you should have in your savings is usually enough to last for three months, including enough to pay rent/mortgage and bills (such as food and gas), though nowadays, you might want to save a bit more. That’s if you have a job that isn’t paycheck to paycheck, of course.

This post is just to get things started. Have any financial question you want an opinion on? Geeky budgets you need help with? Let me know